Japan-Focused Hedge Fund Arena Capital Shuts Down

Arena Capital founder Toby Bartlett to join Hong Kong’s Lim Advisors

A veteran Japan investor has closed his small hedge fund that bet on and against the country’s stocks and will join one of Asia’s longest-running hedge-fund operators, a move that underscores the increasing difficulty managers face striking out on their own.

Toby Bartlett last month closed down his Hong Kong-based Arena Capital Management Ltd. and returned money to investors, according to a person familiar with the matter. The fund...